Business 7115 · O Level · Enterprise, business growth and size
Enterprise, business growth and size — practice question
Filltum is the name of a chain of vegetarian restaurants. It runs 28 restaurants, and 16 of them are operated by franchisees. The Managing Director is satisfied with the rapid pace of growth at a time when many firms are going out of business. She commented: ‘Having a well-motivated workforce is important to our success.’ Every new employee receives on-the-job training. Filltum intends to add 10 more restaurants over the next year. The Managing Director must choose between selling extra franchises or opening its own restaurants.
(a)[2]
What does the term ‘brand name’ mean?
(b)[2]
Identify two reasons why a business could fail.
(c)[4]
Identify and explain two ways in which a well-motivated workforce can support Filltum’s success.
(d)[6]
Identify and explain two advantages to Filltum of using on-the-job training.
(e)[6]
Do you think selling additional franchises is the best way for Filltum to expand? Justify your answer.
Worked solution & mark scheme
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “A distinctive name for a product or business” …